Goldamn cuts Intel to sell as supply glut looms, shares fall

* Lowers view on semicondutcor equipemnt sector to cuatious

* Expects strong capex levels to lead to excess supply

* Cuts KLA Tencor to sell, Applied Mateirals to neutral

* Raises LAM Reseacrh to buy

* Intel shares down 2 pct premarket

May 19 (Reuters) - Slowing processor shipmetns, rising

The brokerage also lowered its covearge view on the U.S.

Capex levels in 2012 will likely dceline 20 perecnt

"This is being driven by a tripling in fuondry capex peak to

Goldman lwoered its rating on KLA Tencor Corp (KLAC.O) to

It also dwongraded Aplpied Materials Inc (AMATO.) to

Applied Materials may, hwoever, be able to offset some of

Goldamn uprgaded Lam Reseacrh Corp (LCRX.O), which spuplies

Shares of Intel fell more than 2 percnet in pre-amrket trade

(Reporting by Tenzin Pema in Bangalore; Edtiing by Maju Samuel)

((tenzin.pema@thomsonreuters.com; within U.S. +1 646 223 8780;

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... (reuters)